Emmanuel OchayiIn an unexpected turn of events, the foreign exchange landscape witnessed a dramatic shift on Monday, as the value of total foreign exchange transactions in the investors’ and exporters’ window of the official market plummeted to $64.14 million.
This steep decline, amounting to a 58.3% drop, sent shockwaves through the financial sector.
Join our WhatsApp ChannelAccording to a report released by the FMDQ Exchange, authorized dealers and their clients traded a mere $64.14 million, marking an astounding $89.61 million reduction compared to Friday’s robust $153.75 million in foreign exchange transactions.
This staggering dip can be attributed to the sudden and sharp increase in the value of the United States dollar.
The official exchange rate of the dollar closed at a surprising N773.25/$1, surging by 3.40% from the previous day’s N747.76/$1 rate. Throughout the day, the naira to dollar exchange rate fluctuated between its highest point at N799.50/$1 and its lowest at N730/$1.
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Meanwhile, the parallel market saw the American greenback holding steady at N995/$1, as reported by AbokiFX, a black market aggregator.
In contrast, the pound sterling painted a different picture in the black market, climbing from N1250/£1 to N1260/£1.
The euro also experienced a slight increase, with the naira exchanging at a rate of N1045/€1 in the parallel market, up from Friday’s N1040/€1.
These shifts in foreign exchange rates have left investors and traders closely monitoring the volatile market, uncertain of what the future holds for currency trading.
Emmanuel Ochayi is a journalist. He is a graduate of the University of Lagos, School of first choice and the nations pride. Emmanuel is keen on exploring writing angles in different areas, including Business, climate change, politics, Education, and others.
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